CABA Information Series

IS-2005-17: Understanding the Shifting Demand for Home Networks

The writer observes the demand for home networks is slowing. Only about 10 per cent of broadband households without network say they want one and 5 per cent are likely to install one. The initial surge in demand was generated by early adopters; future demand must be stimulated using a push marketing strategy through incentives and subsidies. This topic paper from The Diffusion Group discusses (1) why demand for home networking is declining, and (2) the implications of this decline to vendors and service providers.